Packaging Industry in Argentina
Euromonitor International's Packaging Industry in Argentina Euromonitor International's World Market for Glass Packaging report offers insight into key trends and developments in global and regional consumer glass packaging. It provides analysis of the major growth markets and end-use applications, together with analysis of the corporate strategies of the leading companies.
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Chapters: 5 | Tables: 51 | Publication date: Apr 2007
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Executive summary
Economic progress fuels strong growth
The Argentinian economy showed strong growth in 2005 as it continued to recover and surpass its pre-devaluation performance. This resulted in increasing consumption across the board, with strong benefits for the packaged food market as a whole, leading to very positive packaging growth, although it fell far shy of the outstanding results registered in 2004. This led to continued growth in every major pack type as consumers flocked back to their old spending habits.
Hard times for metal packaging
Despite economic recovery, the metal packaging industry has fallen on hard times in Argentina. As metal prices remained high in 2005 and consumers continued to view metal cans as an outdated format, metal can producers were left with little room to move or to win over consumers who saw metal cans as neither an attractive premium nor economy packaging. Metal packaging depended heavily on dairy products and canned/preserved food in the review period. Unfortunately for metal packagers, a trend favouring healthy fresh foods is hurting sales of processed foods, and major players in the Argentinian packaged food industry increasingly preferred flexible packaging in recent years.
Plastic boom
Plastic packaging, both rigid and flexible, was the major beneficiary of trends in 2005 – flexible plastic saw the strongest growth, while rigid plastic packaging occupying the number four spot. In the case of rigid plastic, this was helped along by the increasing efficiency of plastic manufacturing, which was sufficient to offset higher gas prices, as well as the convenient characteristics of the product, which is light and unbreakable. For flexible plastic, growth was due to the product’s excellent versatility and cost effectiveness, which encouraged its application to almost any product – rigid plastic saw gradual movement into areas once dominated by other packaging types as well, such as oils. Also giving plastic packaging a boost in 2005 was the fact that it was seen as an attractive and modern product, which gave ample incentive to both consumers and producers to use it.
Competitive pricing remains key
Despite the recovery of the economy, low prices remained a key driver for the Argentinian packaging market, as manufacturers tried to increase margins and consumers continued to seek the best deals. While this has been excellent news for the plastics industry, other types of packaging have suffered as a result – while metal languished due to high gas prices, even popular products, such as liquid cartons, saw their growth limited to a rate lower than that of the packaging industry as a whole, as the cost of importing products still remains somewhat high due to the unfavourable exchange rate.
Growth markets bring tough competition
Packaging manufacturers jockeyed for position in strong growth markets in 2005, with interesting trends in packaging growth emerging as a result. One such market, baby food, provided a strong boost to glass, liquid cartons and flexible packaging, while yielding little benefit to the metal industry. Within confectionary, paper and flexible packaging fared well, while metal and glass had no participation. Success in soup brought with it excellent growth for liquid cartons. Packaging companies have recognised the importance of innovation in order to move into growth markets early and reap the rewards with more attractive and efficient packaging.
Table of contents
EXECUTIVE SUMMARY
New law project would imply major investments
Metal packaging not what it used to be
The glass and plastics packaging industries benefit from the devaluation
Strong investments increase installed capacity
MARKET BACKGROUND
PACKAGING LEGISLATION
Important legislation under consideration
RECYCLING AND THE ENVIRONMENT
Much to be done
Tetra Pak SRL: committed to the environment
Rigolleau and Zucamor take on social responsibility
“Garbage 0 Law” in Buenos Aires
Amcor PET Packaging launches PET recycling program
Table 1 Overview of Packaging Recycling and Recovery in Argentina 2004/2005 and Proposals for 2007
CORPORATE ACTIVITY IN PACKAGING
Strong investment to increase production
Dynamic
and complex industry
MAJOR MARKET PLAYERS (LOCAL COMPANY PROFILES)
CARTOCOR SA
Summary 1 Cartocor SA Operational Indicators 2005
Summary 2 Major End-Use Markets for Cartocor SA by Pack Type 2005
ZUCAMOR SA
Summary 3 Zucamor SA Operational Indicators 2005
Summary 4 Major End-Use Markets for Zucamor SA by Pack Type 2005
TETRA PAK SRL
Summary 5 Tetra Pak SRL Operational Indicators 2005
Summary 6 Major End-Use Markets for Tetra Pak SRL by Pack Type 2005
VORIDIAN ARGENTINA SRL
Summary 7 Voridian Argentina SRL Operational Indicators 2005
Summary 8 Major End-Use Markets for Voridian Argentina SRL by Pack Type 2005
AMERICAN PLAST SA
Summary 9 American Plast SA Operational Indicators 2005
Summary 10 Major End-Use Markets for American Plast SA by Pack Type 2005
ENVASES DEL PLATA SA
Summary 11 Envases del Plata SA Operational Indicators 2005
Summary 12 Major End-Use Markets for Envases del Plata SA by Pack Type 2005
BOLSAPEL SA
Summary 13 Bolsapel SA Operational Indicators 2005
Summary 14 Major End-Use Markets for Bolsapel SA by Pack Type 2005
VITOPEL SA
Summary 15 Vitopel SA Operational Indicators 2005
Summary 16 Major End-Use Markets for Vitopel SA by Pack Type 2005
LUIS & MIGUEL ZANNIELLO SA
Summary 17 Luis & Miguel Zanniello SA Operational Indicators 2005
Summary 18 Major End-Use Markets for Luis & Miguel Zanniello SA by Pack Type 2005
BOLSAFLEX SA
Summary 19 Bolsaflex SA Operational Indicators 2005
Summary 20 Major End-Use Markets for Bolsaflex SA by Pack Type 2005
CATTORINI HERMANOS SA
Summary 21 Cattorini Hermanos SA Operational Indicators 2005
Summary 22 Major End-Use Markets for Cattorini Hermanos SA by Pack Type 2005
RIGOLLEAU SA
Summary 23 Rigolleau SA Operational Indicators 2005
Summary 24 Major End-Use Markets for Rigolleau SA by Pack Type 2005
RAYéN CURá SAIC
Summary 25 Rayén Curá SAIC Operational Indicators 2005
Summary 26 Major End-Use Markets for Rayén Curá SAIC by Pack Type 2005
AMIPLAST SH
Summary 27 Major End-Use Markets for Amiplast SH by Pack Type 2005
CROWN PACKAGING ARGENTINA SA
Summary 28 Crown Packaging Argentina SA Operational Indicators 2005
Summary 29 Major End-Use Markets for Crown Packaging Argentina SA by Pack Type 2005
MAJOR MARKET PLAYERS BY PACK TYPE
RIGID PLASTIC
Summary 30 Major Rigid Plastic Packaging Manufacturers by Pack Type 2005
METAL
Summary 31 Major Metal Packaging Manufacturers by Pack Type 2002
FLEXIBLE PACKAGING
Summary 32 Ranking of Major Flexible Packaging Manufacturers 2005
GLASS
Summary 33 Share of Major Glass Packaging Manufacturers 2005
LIQUID CARTONS
Summary 34 Share of Major Liquid Carton Manufacturers 2006
PAPER-BOARD CONTAINERS
Summary 35 Major Rigid Plastic Packaging Manufacturers by Pack Type 2005
CLOSURES
Summary 36 Ranking of Major Closure Manufacturers 2005
APPENDIX
Table 2 Packaging Industry in Argentina - 2005
Table 3 Packaging Production in Argentina - Tonnes
Table 4 Corrugated Cardboard ('000 sq m)
Table 5 PVC Packaging (tonnes)
Table 6 High Density Polyethylene Packaging (tonnes)
Table 7 Polystyrene Packaging (tonnes)
Table 8 PET Packaging (tonnes)
Table 9 Polypropylene Packaging (tonnes)
Table 10 Metal Beverage Cans (millions of units)
Table 11 Aluminium Foil (tonnes)
Table 12 Folding Cartons (tonnes)
Table 13 Metal Aerosol Cans (millions of units)
Table 14 Glass bottles (millions of units)
Table 15 Tetra Brik Packaging (millions of units)